Kansas City Southern Mexico (KCSM) announced that it reached an agreement with the Secretariat of Infrastructure, Communications and Transportation (SICT) to finance a new investment in the Beltway Railway of the Celaya-NBA Lineas well as other infrastructures, this for an amount of 4 billion pesos.
Through a press release, the railway company said that with this the competent authority has extended its concession title for 10 years more, which is now going to expire in 2037.
“In exchange for the investment, SICT has agreed to modify KCSM’s concession title as of July 14, 2022, to extend the exclusivity rights granted to KCSM for an additional 10-year period. Under this amendment, KCSM’s exclusivity will now expire in 2037,” the company said.
“We are pleased to announce an agreement with SICT to make critical investments in railway infrastructure in the Celaya Beltway and other infrastructure, and extend KCSM’s exclusivity rights under the concession title for 10 years,” said Óscar Augusto Del Cueto Cuevas, president, general manager and executive representative of KCSM.
He added that “this agreement and amendment reinforce our strong partnership with the Mexican government and our longstanding commitment to asupport the railway network of Mexico, It plays an essential role in promoting the country’s economic growth.
According to the project prospectus, this remaining section consists of 19 kilometers and, now it is necessary to determine the date of the start of the works, which are scheduled to end in 2024.